Hotel Chamber Calls for Greek PM’s Intervention Over Rumored New Tax on Accommodation

Hellenic Chamber of Hotels President Yiorgos Tsakiris has sought Prime Minister Alexis Tsipras’ intervention to prevent the rumored new tax on hotel accommodation per night from becoming a reality. The hotel chamber is an institutional advisor of the state for tourism.

The tax on hotels, which is said to be based on occupancy rates, has not yet been defined but it is expected to come into force from early 2017. According to reports, initial estimates point to a charge of 2 euros per night’s stay per person.

In a letter to the Greek PM on Monday, Mr Tsakiris expressed his great concern and opposition “to such a destructive perspective, which will give the final blow to Greek hotels and therefore Greek tourism”.

Citing data from the Institute for Tourism Research and Forecasts (ITEP), the chamber’s president said that the introduction of a tax on accommodation units per night will not only undermine this tourism season but also Greek tourism’s competitiveness.

“After the doubling of the value added tax (VAT), the abolition of the reduced VAT rates on the islands and maintaining numerous charges (such as copyright fees) that dangerously burdens the operation of hotels, the Greek hotel industry can not absorb any further tax hikes”, he said in the letter.

Mr Tsakiris underlined that the new tax would impact the tourism demand in the country with an immediate reduction in the number of arrivals.

To read the chamber’s letter to the Greek PM (in Greek), press here.